Vast Resources plc / Ticker: VAST / Index: AIM / Sector: Mining
27 February 2023
Vast Resources plc
(‘Vast’ or the ‘Company’)
Report on Technical Programme for Baita Plai Mine
Exploration Target for Mineral Resource upgrade and establishment of an Ore Reserve
Vast Resources plc, the AIM-listed mining company, is pleased to announce the receipt of a Technical Programme Report (the ‘Report’) for its Baita Plai Polymetallic Mine (‘Baita Plai’) which sets out a plan for a drilling programme for the purpose of establishing an enlarged JORC compliant Mineral Resource and in due course an Ore Reserve for its licence renewal in August 2024. The Report concludes that the fulfilment of the programme will give the Company potential to:
- Extend the current mine ore zone (Antonio).
- Justify the opening of a new mining area (Baia Rosie) directly from Antonio Level 15 into the Baia Rosie Skarn.
- A potential upgrade to the existing Mineral Resource at Baita Plai (Antonio plus Baia Rosie) with the inclusion of a JORC compliant Exploration Target of 11.65-12.65Mtn at 0.98% to 1.69%% Cu, 0.23% to 0.57% Pb, 0.17% to 0.62%Zn.
- 12 Month Drilling Programme to confirm historic data and continuation of the previously mined areas.
- Total of 15,870 drilling metres (59 locations) are planned
- 10,890 diamond drilling metres are planned in Baia Rosie
- from surface 18 holes – 9,900 metres
- from underground 14 holes -990 metres
- 4,980 diamond drilling metres are planned for Antonio
- from underground 27 holes – 4,980 metres
- Total of 15,870 drilling metres (59 locations) are planned
The ore bodies proposed for investigation are constructed based on data from historical drillholes and level plans and have a total tonnage of 11.65-12.65Mtn considered as an Exploration Target (see below).
To evaluate the degree of correlation between Cu%, Zn% and Pb% a Pearson’s correlation was conducted. The prognoses for Cu%, Pb%, Zn%, Au_g/t and Ag_g/t as a result of this are presented below and are considered to be target grades:
| Cu% | 0.98 to 1.69 |
| Pb% | 0.23 to 0.57 |
| Zn% | 0.17 to 0.62 |
| Au_g/t (based on drillholes samples) | 0.05-2 |
| Ag_g/t (based on drillholes samples) | 30-90 |
Drilling costs and associated reporting are to be funded from current cash balances, future funding and revenues over the coming 12 months.
Exploration Targets
| Exploration Target Drill Spacing | Mass | Zone |
| t | ||
| (50x50m) | 500,000-550,000 | |
| (100x100m) | 5,100,000-5,200,000 | Baia Rosie |
| (Extension 100m) | 3,250,000-3,500,00 | |
| Total Baia Rose Ore | 8,850,000-9,250,000 | |
| (50x50m) | 1,300,000-1,400,000 | |
| (Extension 100m) | 1,500,000-2,000,000 | Antonio |
| Total Antonio Ore | 2,800,000-3,400,000 | |
| Total 50x50m+ 100x100m | 8,400,000-9,150,000 | Baia Rosie + Antonio |
| Total 50x50m+100x100m+Extension 100m | 11,650,000-12,650,000 | Baia Rosie |
Drilling Requirements | ||
| Measured Drill Spacing | 50x50m | |
| Indicated Drill Spacing | 100x100m | |
| Inferred Drill Spacing | Extension 100m |
The proposed drilling will be spaced at 50x50m; some at 100x100m; and some at wider spacing. The 50x50m spacing and the 100x100m spacing is expected to be sufficient to achieve a Measured and Indicated Mineral Resource.
A copy of the Report in full can be found on the Company’s website using the following link: https://www.vastplc.com/investor-information/document-downloads
The Report was prepared by Negru Vlad Andrei, Chief Geologist for geological and geotechnical consultants, Formin SA, and countersigned by Daniel Maguran of Maguran Top Consulting, Canada.
The information for the Report was sourced from the Company’s database files which included its drilling and sampling database, quality control sample results and quality/data collection procedures and protocols, together with maps, drill holes and assays from historical sources. This enabled the construction of a ‘Wireframe’ - which was also confirmed by the 2020 drill holes at Antonio which formed the basis of the JORC Mineral Resource announced on 29 October 2020. The Report concludes the Wireframe constitutes a solid foundation for the planning of a new set of drill holes with the potential to highlight the extension of the current mine ore zone (Antonio) and to justify the opening of the new mining area in Baia Rosie ore that was historically mined down to level 15 only.
Establishment of an Ore Reserve
Following the result of the drilling programme the Company intends to carry out a further study in order to produce a Preliminary Economic Assessment (PEA) of the further potential at Baita Plai revealed by the drilling programme. Subject to the results of the PEA this would then potentially enable the recategorisation of a portion of the Measured and Indicated Mineral Resources into Proved and Probable Ore Reserves.
Furthermore, as part of this process, the Company has located an historic National Agency for Mineral Resources (ANRM) Polymetallic Registered Reserve of 1.489 million tonnes calculated until 220m Depth (Level 19) as follows:
| Avg.Grade | Ore Tonnes | Contained Metal Tonnes | ||
| Cu | % | 0.647 | 1,247,000 | 8,068 |
| Pb | % | 40.10 | 1,460,000 | 5,855 |
| Zn | % | 0.964 | 1,474,000 | 14,209 |
| Mo | g/t | 152.2 | 946,000 | 144 |
| Bi | % | 0.051 | 1,068,000 | 545 |
| W | g/t | 4.00 | 357,000 | 1.43 |
* Shareholders should note that this historic Mineral Resource is not JORC compliant and was prepared under the NAEN Code in 1999 and recategorised in 2009 by ANRM and, whilst indicative, should not be relied upon until the revised JORC Resource/Reserve statements are published by the Company following the intended drilling campaign.
Andrew Prelea, CEO of Vast Resources plc, commented:
“The receipt of the recommendations and conclusions of the Report is an important step in potentially extending the mining area at Baita Plai from its existing base and creating a much enlarged Mineral Resource. In the Company’s announcement of 29 October 2020 we were able to report an Exploration Target of between 1.8 million and 3.0 million tonnes in a range of 0.50-2.00% Cu, 0.20-0.80g/t Au and 40-80g/t Ag. I am pleased to see that this Exploration Target is now well exceeded as a result of the new Exploration Target contained in the Report – a significant further step in securing the long term future of the Baita Plai mine.”
Report Signatories
Negru Vlad Andrei is a ‘Certified Person’ from the National Agency for Mineral Resource in Romania. He is a geologist with more than 12 years’ experience in Mineral Resource estimation. He has worked for a large number of projects in Romania and also as an SRK consultant. Mr Andrei consents to the inclusion of his name in this announcement in the form and context to which it appears.
Daniel Maguran is a Competent Person and is a registered member of the ‘Ordre des ingenieurs du Quebec’, a recognised professional organisation included in the list that is posted on the ASX website from time to time. Having worked continuously since 2000 in various positions as a mechanical engineer, area manager and senior project manager Mr Maguran has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr Maguran consents to the inclusion of his name in this announcement in the form and context to which it appears.
Competent Person
The forward-looking technical views made in this announcement is based on information interpreted by Mr Nicolae Turdean, the Our Romanian Country Manager and a full-time employee of the Company. Mr Nicolae Turdean is a Qualified Person who is a Member in good standing of the:
- Romanian National Association of Specialists in Mining Industry
- General Association of Romanian Engineers
- Romanian National Committee of Mining Engineers
Nicolae has 40 years’ experience in the Romanian mining industry. He was most recently President of the National Agency for Mineral Resources. Prior to this, Nicolae was the Chief Executive of Cupru Min SA, the Romanian state-owned copper producer. Nicolae has worked closely with the Ministry of Economy and Commerce, the Minister of Economy and Finance, and the World Bank, as well as serving on the Board of Administration for a number of companies. Nicolae holds both a Bachelor of Mining Science and a MSc. in the Management of Mining Activities from the Technical University of Petrosani in Romania.
Market Abuse Regulation (MAR) Disclosure
Certain information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018 (“UK MAR”) until the release of this announcement.
**ENDS**
For further information, visit www.vastplc.com or please contact:
| Vast Resources plc Andrew Prelea (CEO) Andrew Hall (CCO) | www.vastplc.com +44 (0) 20 7846 0974 |
| Beaumont Cornish – Financial & Nominated Advisor Roland Cornish James Biddle | www.beaumontcornish.com +44 (0) 20 7628 3396 |
| Shore Capital Stockbrokers Limited – Joint Broker Toby Gibbs James Thomas (Corporate Advisory) | www.shorecapmarkets.co.uk +44 (0) 20 7408 4050 |
| Axis Capital Markets Limited – Joint Broker Richard Hutchinson | www.axcap247.com +44 (0) 20 3206 0320 |
| St Brides Partners Limited Susie Geliher | www.stbridespartners.co.uk +44 (0) 20 7236 1177 |
ABOUT VAST RESOURCES PLC
Vast Resources plc is a United Kingdom AIM listed mining company with mines and projects in Romania, Tajikistan, and Zimbabwe.
In Romania, the Company is focused on the rapid advancement of high-quality projects by recommencing production at previously producing mines.
The Company's Romanian portfolio includes 100% interest in Vast Baita Plai SA which owns 100% of the producing Baita Plai Polymetallic Mine, located in the Apuseni Mountains, Transylvania, an area which hosts Romania's largest polymetallic mines. The mine has a JORC compliant Mineral Resource Report which underpins the initial mine production life of approximately 3-4 years with an in-situ total Mineral Resource of 15,695 tonnes copper equivalent with a further 1.8M-3M tonnes exploration target. The Company is now working on confirming an enlarged exploration target of up to 5.8M tonnes.
The Company also owns the Manaila Polymetallic Mine in Romania, which the Company is looking to bring back into production following a period of care and maintenance. The Company has also been granted the Manaila Carlibaba Extended Exploitation Licence that will allow the Company to re-examine the exploitation of the mineral resources within the larger Manaila Carlibaba licence area.
Vast has an interest in a joint venture company which provides a share of revenue generated from the Takob Mine processing facility in Tajikistan. The Takob Mine opportunity, which is 100% financed, will provide Vast with a 12.25 percent royalty equivalent over all sales of non-ferrous concentrate and any other metals produced.
In Zimbabwe, the Company is preparing for the release of its diamonds previously mined by the Company and preparing for their marketing. Upon the finalisation of the process the Company will recommence its focus on the finalisation of the mining agreement on the Community Diamond Concession in the Marange Diamond Fields.
TECHNICAL GLOSSARY
The following is a summary of technical terms:
| Ag | Silver |
| Au | Gold |
| Cu | Copper |
| Pb | Lead |
| Zn | Zinc |
| Mo | Molybdenum |
| Bi | Bismuth |
| W | Wolfram (Tungsten) |
| Cut-off | The cut-off grade the lowest grade, or quality, of mineralised material that qualifies as economically mineable and available in a given deposit. May be defined on the basis of economic evaluation, or on physical or chemical attributes that define an acceptable product specification; |
| Grade | Grade(s) means the quantity of ore or metal in a specified quantity of rock |
| Mineral Resource | A 'Mineral Resource' is a concentration or occurrence of solid material of economic interest in or on the Earth's crust in such form, grade (or quality), and quantity that there are reasonable prospects for eventual economic extraction. The location, quantity, grade (or quality), continuity and other geological characteristics of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge, including sampling. Mineral Resources are sub-divided, in order of increasing geological confidence, into Inferred, Indicated and Measured categories. |
| Inferred Mineral Resource | An 'Inferred Mineral Resource' is that part of a Mineral Resource for which quantity and grade (or quality) are estimated on the basis of limited geological evidence and sampling. Geological evidence is sufficient to imply but not verify geological and grade (or quality) continuity. It is based on exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes. |
| Indicated Mineral Resource | An 'Indicated Mineral Resource' is that part of a Mineral Resource for which quantity, grade (or quality), densities, shape and physical characteristics are estimated with sufficient confidence to allow the application of Modifying Factors in sufficient detail to support mine planning and evaluation of the economic viability of the deposit. |
| Exploration Target | An Exploration Target is a statement or estimate of the exploration potential of a mineral deposit in a defined geological setting where the statement or estimate, quoted as a range of tonnes and a range of grade (or quality), relates to mineralisation for which there has been insufficient exploration to estimate a Mineral Resource. |
| Mineral Reserve | An ‘Ore Reserve’ is economically minable part of a Measured and/or Indicated Mineral Resource. It includes diluting materials and allowances for losses, which may occur when the material is mined or extracted and is defined by studies at Pre-Feasibility level as appropriate that include application of Modifying Factors. Such studies demonstrate that, at the time of reporting, extraction could be reasonably justified. |
| JORC Code | Australasian Institute of Mining and Metallurgy Joint Ore Reserves Committee code on mineral resources and ore reserves |
| Mineralisation | Process of formation and concentration of elements and their chemical compounds within a mass or body of rock |
